18 6 Tender Tender Forms GCC SC EMD

18. 6 Tender, Tender Forms GCC, SC, EMD, PG, SD, CONTRACT MANAGEMENT SUNIL POPHALE July, 2020 1

TENDERS 1210. Tender System. It is the primary duty of the Executive to obtain the best value possible for the money spent and the tender system should be given a very careful and serious consideration in all cases as one of the most effective methods of securing competitive rates. The exceptions made to the general rule, that the tenders should be called for, in all cases are based only on practical considerations in order to avoid delay and unnecessary work in the cases of works of comparatively small value. 2

TENDERS • 1212. Classes of Tenders. -The following are amongst the different methods of obtaining tenders that may be adopted : • (i) By advertisement ("Open" tenders); • (ii) By direct invitation to a limited number of firms/contractors ("Limited" tenders); and • (iii) By invitation to one firm/contractor only ("Single" tenders). 3

TYPES OF TENDER • OPEN TENDER • ONE PACKET SYSTEM • TWO PACKET SYSTEM • PRE-QUALIFICATION SYSTEM OF TENDER • LIMITED TENDER • SPECIAL LIMITED TENDER • SINGLE TENDER • DISPENSING WITH TENDER (QUOTATION)

CONSIDERATIONS FOR SELECTING TYPE OF TENDER OBJECTIVE Reasonable level of competition FACTORS • Importance and urgency • Availability of contractors • Specialised nature • Value of work • Availability of Approved List

OPEN TENDERS • E-1213 To be ‘used as general rule’ By public advertisement

TENDERS • 1213. Open Tender System : -The system of invitation to tender by public advertisement in the most open public manner possible should be used as a general rule and must be adopted, subject to the exceptions noted in paragraphs 1211 and 1214. • 1214. Limited Tender System : • (i) Where for reasons which should be in the public interest, it is considered not practical or advantageous to call for open tenders, limited tenders may be invited with the concurrence of the Financial Adviser and Chief Accounts Officer and approval of the competent authority. The reasons for inviting limited tenders from firms/contractors should be kept on record while approaching finance for concurrence. 7

TENDERS • Limited Tender • (ii) In open line railways, the systems of inviting tenders for works costing up to Rs. 40 lakhs (Rupees Forty lakhs) each from amongst the contractors borne on the approved list may also be adopted when it is considered advantageous to do so, provided the number of contractors borne on the approved list for the particular type of work is not less than 10. • (iii) Some percentage of the tenders which would normally be finalised by calling limited tenders, be finalised by calling open tenders so as to test the market rates periodically. • (iv) Notice for `Limited Tenders be sent to all eligible contractors borne on the approved list. 8

TENDERS • Limited Tender • Note : -Notwithstanding the provision contained in para 1214 (ii) above, the Railways may invite open tenders in the following circumstances : • (a) In the event of insufficient response to the tender from the contractors borne on the approved list; • (b) When the work is of special nature and contractors with requisite experience are not available on the approved list; and • (c) When ring formation is suspected. " 9

TENDERS • 1214 -A Single tender : Single tender can be awarded • • under following situation such as : (1) EMERGENT SITUATION : (a) Accidents, breaches involving dislocation to traffic. (b) Works of specialised nature to be personally approved by the GM/CAO (C) with prior/ concurrence of the FA & CAO. This power is not to be delegated to any other authority. (c) Any other situation where General Manager personally considers it inescapable to call for single tenders subject to this powers can be exercised by GM only with prior concurrence of Finance. 10

TENDERS Single tender • (2) Annual Maintenance Contract for equipment can be placed on single tender basis on authorised dealers with approval of Additional General Managers of Railways. • NOTE. --These powers may be delegated by the General Managers in consultation with FA & CAOs to PHODs/DRMs upto a maximum of Rs. 5 lakhs per item per annum. On re-delegation, these powers would be exercised by PHODs/DRMs in consultation with associate finance. 11

Calling of tenders - Powers » ( Model SOP) For Open Tender of approved and sanctioned works : By officer not lower than JAG Powers by JAG is restricted to the value of tenders to be accepted at SAG level. Pre-vetting of tender schedules is not necessary except in the rare urgent cases where tenders to be called without sanction of detail estimate. Pre-Vetting is also not necessary in case of Zonal works and revenue works in Open Line upto Rs. 5 Lakh for which detail estimates need not be framed.

Calling of tenders - Powers Model SOP 2018 – item No. 5 (A) (i) 13

Calling of Tenders - NIT TEN S R DE

Tender Notice • 1238: Tender Notice- Sufficient notice should be given for the submission of tenders, which in the case of large works should not be less than 21 days. • The above prescribed tender notice period may be reduced from 21 days in exceptional circumstances in consultation with the Principal Finance Adviser. • However: • (i) For tenders valued upto and including Rs 2 crore invited through etendering, the tender notice period can be reduced upto 14 days in consultation with Associate Finance. • • 2. For works remote locations or of specialize nature or amount higher than Rs. 50 crore, adequate tender notice period (not less than 21 days) should be given for preparation to the potential bidders in order to ensure competitive and well informed bidding. • GCC – 16 July 2020 • ( RB. 2018/Trans. Cell/S&T/NIT Period Dtd. 26. 07. 2018 ) 15

Tender Notice • GCC 1. 2 (n) Date of inviting tender shall be the date of publishing tender notice on IREPS website if tender is published on website or the date of publication in newspaper in case tender is not published on website. 16

Tender Notice • In case of manual tendering, the tender notice should state : - • (i) The place and time where contract documents can be seen. • (ii) The place and time where blank tenders forms can be obtained. • (iii) The amount, if any, to be paid for such documents. • (iv) The place, where, the date on which and the time when tenders are to be submitted and are to be opened. • However in case of in e-tenders invited on IREPS, the date & time both for submission of tender & opening of tender should be indicated in tender notice.

NOTICE INVITING TENDER (NIT) - NOTICE (Bd’s Lr. No. 2015/CE-I /CT/5/1 dt 31. 08. 16) • For the purpose of Corrigendum NIT is splitted as: – Advertisement period: Time during which all information pertaining to tender shall be available, but offer cannot be submitted. – Offer submission period: 15 days prior to opening date. During which tenderer can submit offer. No corrigendum is permitted during offer submission period and cases requiring corrigendum during this period shall be retendered.

NOTICE INVITING TENDER (NIT) - NOTICE • to be published in newspapers and on website (Now ireps) • Description of work • Approx. cost work • Time of Completion • Earnest Money details • Cost of tender documents

NOTICE INVITING TENDER (NIT) - NOTICE • Place, date and time of submission/opening of tender • Place and time of availability of tender documents • Basic eligibility criteria • Authority inviting tender • NOW USE ireps IT WILL TAKE CARE OF ALL

Opening of Tenders

Quotations • Circumstances when Tenders need not be called for – • Except where for reasons which should be in public interest the General Manager decides that it is not practicable or advantageous to call for tenders, all contracts over Rs 10, 000/- in value should be placed after tenders have been called for in the most open and public manner possible and with adequate notice. • In all other cases where it is decided not to call for tenders, the reasons should be recorded and financial concurrence obtained.

Quotations – Dos & Don’ts • General Manager may however delegate the powers to dispense calling of tenders under the preceding subpara as per ceiling limits communicated by railway board time to time. • (i) Normally powers to dispense with calling of tenders should be exercised sparingly. The circumstances under which quotations have to be called should be spelt out. • (ii) The work should not be split up for the purpose of bringing it within the ambit of this dispensation. • (iii) The reasonableness of rates should be gone into objectively by the accepting authority. • (iv) Quotations should not be for items which can be executed through the existing contracts including zonal contracts;

Quotations • (v) Quotations should not be for fancy (expensive but of low utility) items; • (vi) Quotations should only be for works which are urgent in nature; • (vii) Quotations should normally be invited from at least three well experienced contractors / agencies not necessarily borne on the approved list. • (viii) Accepting Authority must take precautions to see that the quotations are from genuine firms (and not from fictitious firms); and

Quotations Dos & DON’Ts • A Register showing the full particulars of works authorized through quotations will be maintained by the officer having powers to dispense with calling of tenders. The register shall be sent to associate finance while seeking their concurrence. • Powers to be exercised only by FIELD Officers and their controlling HODs and NOT by other HQ Officers in-charge of Planning, Design etc.

Model SOP 2018 – 5 (F) • 5 (F) To dispense with calling of tenders for works which are urgent in nature and to accept offers received in response to quotations. • PHOD/CHOD : Up to Rs. 10 Lakhs per case for all works including works directly related to safe running of trains with annual limit of Rs. 1. 2 Cr. • DRM/ADRM/SAG : Up to Rs. 10 Lakhs per case for all works including works directly related to safe running of trains with annual limit of Rs. 1. 2 Cr. • JAG/SG & SS officers (Independent charge) • (i) Works directly related to safe running of trains: Up to and including Rs. 2 lakhs per case without finance concurrence subject to annual ceiling limit of Rs. 10 Lakhs. • (ii) All other works including works directly related to safe running of trains: Up to Rs. 5 lakhs per case with annual limit of Rs. 60 lakhs (including (i) above). • SG and JAG in workshop - same as above

Model SOP 2018 – item No. 5 (F) 27

Model SOP 2018 • Notes for Item 5 F (Quotations): • 1. Finance concurrence is necessary except for delegation under col. 5(i) for which certification by accepting Authority that the work is of urgent nature and directly related to safe running of trains in his jurisdiction is required to be recorded. • 2. The powers shall be exercised by the officers with their own administrative approval and no separate administrative approval is necessary. • 3. The powers should be exercised sparingly. The circumstances under which quotations have to be called should be spelt out. • 4. The powers are also subject to the availability of provision in sanctioned estimate or preparation/ sanction to the detailed estimates wherever necessary.

Model SOP 2018 • 5. The work should not be split up for the purpose of bringing it within the ambit of this dispensation • 6. The reasonableness of rates should be gone into objectively and in detail by the accepting authority. • 7. Quotations should not be for fancy (expensive but of low utility) items. • 8. Quotations should only be for works which are urgent in nature. • 9. Quotations should normally be invited from at least three well experienced contractors/ agencies not necessarily borne on the approved list.

Model SOP 2018 • 10. Accepting Authority must take precautions to see that the quotations are from genuine firms (and not from fictitious firms). • 11. A Register showing the full particulars of works authorized through quotations shall be maintained by the officer having powers to dispense with calling of tenders. The register shall be sent to associate finance while seeking their concurrence. • 12. The powers delegated are specific to the department/division concerned. • 13. Cross utilization of powers of equivalent officers in a division/single administrative unit shall not be allowed.

Model SOP 2018 • 14. Notice period of at least 7 days from the date of NIQ (Notice inviting Quotation) shall be maintained. • In case of emergency, the period can be reduced with approval of the authority accepting quotation.

Conditions I Agree. . . 32

CONTRACT When two or more persons have common intention communicated to each other to create some obligation between them there is said to be an agreement. AN AGREEMENT ENFORCEABLE BY LAW IS CALLED A ‘CONTRACT’. AGREEMENTS ENFORCEABLE BY LAW ( according to sec. 10 of Indian Contract Act, 1872) If any one party of the contract is Government then it is called as Government Contract must be in writing. 33

Indian Contract Act, 1872 Essential for valid contracts : • Free consent. • Competency Of the parties. • • who is not disqualified from contracting by any law to which he is subject. Not Baned by any railway/other department. • Lawful consideration. o There should be proposal / Offer and Acceptance (NIT & Tender and LOA) o Section-2(b) of the Act provides that when an offer is accepted then it becomes a promise. (LOA) – Legal obligation established. o Communication of acceptance of a proposal should be communicated to the offerer expressly. (LOA to communicated by hand or by post etc. ) (IREPS) 34

“Success of Engineer is in getting the Work done” 35

PROCESSING and EXECUTION of WORKS Identification of work Chargeable to Revenue (Demand No. 4/7/11/9) Field survey & conceptual drawings Proposal for sanction Approval Chargeable to Capital (Demand No. -16) conceptual drawings and Justification RECT/PEC T Abstract Estimate IRPSM Sanction

PROCESSING and EXECUTION of WORKS Chargeable to Capital Chargeable to Revenue FLS Preparation of Estimate and Sanction Detail Estimate Planning for execution Contract TENDERs Departm ental Contract Management & Execution Store procurement Commission ing

Why to learn about contracts Failure of contractor is considered as failure of Engineer Selecting good contractor by following rules and regulation. Not only to select, but to make contract work successful. BETTER CONTRACT MANAGEMENT Contractors are getting better informed Avoids legal complications Avoids vigilance cases Reduces audit objections

CONTRACTS

Understanding Government Contracts • Government Contract • As the name suggests a Government contract is a contract in which one of the parties is the Government. • The State, as well as the Central Government, maybe the party in a Government contract. • All the Government contracts are made in the name of President of India.

Understanding Government Contracts • In India, in cases of Government contracts, the provisions of the Constitution specifically enumerated in Article 299 has to be followed and the formalities which are required have to be fulfilled for the formation of such contracts. • In addition to the requirements of the Indian Contract Act 1872, the provisions of Article 299 of the Indian Constitution also has to be followed otherwise the contract will not be a valid one.

Law • The Law related to the Government Contracts is provided under Article 299 of the Constitution of India. • The article 299(1) derives its source from section 173(3) of Government of India Act 1935. • It is valid only when it is in Writing.

Agency of Contractor • E- 202 Agency of Contractor • The agency of contractors may, if economical or expedient be utilized for the proper execution of works of construction, repairs or maintenance on lines under construction and on open lines.

CONTRACT u. When two or more persons have common intention communicated to each other to create some obligation between them there is said to be an agreement. u AN AGREEMENT ENFORCEABLE BY LAW IS CALLED A ‘CONTRACT’ • AGREEMENTS ENFORCEABLE BY LAW ( according to sec 10 of Indian Contrct Act 1872) • Made by free consent • Competent to contract • Lawful consideration • Lawful object

TYPES OF CONTRACTS CONTRACT Expenditure Contract Store Contract Works Contract Earning Contract Service Contract

Selection Objective • To select Competent contractor • To obtain Reasonable level of competition • Relevant Factors for Consideration • Importance and urgency • Specialized nature • Value of work • Availability of contractors

WORKS CONTRACT (Para 1203 of Engg. code) All works and supplies relating to the Engineering Department executed through the agency of contractors: • (i) Zone Works • (ii) Special Works: Such as the construction of bridge, the formation of an embankment etc. other than zone works; • (iii) Supplies of building materials. -Such as bricks, tiles, lime, doors, windows, ballast, moorum, fire bricks, pitching stone etc. which are not usually stocked or purchased by the Stores Department. Contracts relating to these three classes will for the purpose of this Code be termed as `Work Contracts' as distinguished from `Stores Contracts' which pertain to the supply of stores arranged by the Stores Department.

Forms of Works Contracts • Forms of Works Contracts – • The following forms of contract are primarily intended for application to Works Contracts: - • (i) Lumpsum contract; • (ii) Schedule contract; and • (iii) Piece work contracts; • (iv) Engineering, Procurement and Construction (EPC) Contract

SCHEDULE CONTRACT: • Simplest form of Contract. • Contract in which rates and quantity of various activities are fixed. • The contractor agrees to carry out a work as specified, within a given period, at the fixed/accepted unit rates for each of the various items comprising such work. • The sum to be paid will depend an actual quantities of the work done against each item of work (measured). • Most commonly used type of contracting format in Railways

SCHEDULE CONTRACT • QUANTITY NEED TO BE KNOWN • POOR QUANTITY CALCULATION WILL RESULT IN VARIATIONS • DRAWINGS SHOULD BE AVAILABLE • BILLING NEEDS DETAIL MEASUREMENT • LITTLE FLEXIBILITY AFTER AGREEMENT IS SIGNED • BUT GENERALLY RESULTS IN ECONOMIAL OFFERS

Piece Work Contract • E 1208 This means a contract under which only unit rates or prices for various kinds of work or materials are agreed upon, without reference either to the total quantity of work to be done or materials supplied; or to the quantity of work to be done or material supplied within a given period. • The Zonal Contract adopted on the Railways (refer para 1209) fall under this category (c. f. para 406 S).

Piece Work Contract • Note: - • Agreeable to the above definition of a piece work contract -- (a) the Railway may indicate its intention as to the maximum value of the orders it is likely to place; but the contractor cannot claim to be given an order for more than one unit of work or supply; • (b) after the contract is executed, specific orders for work or supply may be placed against it; and • (c) rate of progress may not be specified; but if it is not satisfactory the contract can be terminated.

PIECE WORK CONTRACT: • In this type of contract only unit rates for various kinds of the works are agreed upon, without reference to the quantity of work to be done within a given period. • The zonal contracts adopted on the Railways fall under this category. • Generally time period of such contracts is one year

PIECE WORK CONTRACT (contd) • The Railway indicates the approximate total cost of work. • After the contract is executed/signed the specific work orders or supply orders are placed based on master schedule of the rates. • The rate of progress of work may not be specified but if it is unsatisfactory the contract can be terminated. • To avoid the vitiation or undue benefit, the approximate cost in each group of the works of master schedule is specified.

PIECE WORK CONTRACT (contd) • Merits: – Detailed advanced planning is not required. – As and when petty repair works arise, the work orders can be placed. • Prerequisite: Availability of an updated master schedule of the rates (USSOR) – If the schedule of rates is old, for some items the rates will be profitable and for some items loss making. There is likely a tendency on the part of the contractor not to execute loss making items. • Time period of such contracts is normally 1 st of July to 30 th of June. • Maximum value of one work order is Rs 5. 0 lakhs

Zone Contracts • E 1209 Contracts for Zone works and Engineering Materials – • It is often advantageous to allot all minor works and all works of repairs and maintenance in a particular zone for a definite period to one contractor. • It may be likewise advantageous to make this contractor who can be called a zonal contractor responsible for the conveyance or supply of engineering materials as and when required, in a particular zone during a specified period.

Zone Contracts • (i) New Works, additions and alterations to existing structures, special repair works and supply of building materials subject to the contract value of each such work not exceeding Rs. 5 lakh. • (Authority Railway Board letter No. 2001/CE 1/CT/17/pt. III dt. 27. 09. 2017) • (ii) All ordinary repairs and maintenance works; and • (iii) Conveyance of materials e. g. bricks, lime, sand etc. which are likely to be required in a zone during the year.

Zone Contracts • The zonal contracts should be for the period from 1 st of July to 30 th of June. • The contracts for these works or supplies should as a rule, be on a yearly basis. • If, however, any special advantage, such as more favourable rate is likely to be secured by giving out contracts for longer periods, contracts for more than a year may, with the concurrence of the Accounts Officer, be entered into

Zone Contracts • It should be ensured that as far as practicable, no work orders are approved against the old contract after the opening of the new tenders and all works of the old contract are completed by the end of June. • Exceptional cases may, however, be dealt on their merits with the approval of the competent authority, taking into account all relevant facts including such information as is available regarding the trend in rates.

Lumpsum Contract • "Lumpsum" Contracts – • E 1205 , 1206 • The Lumpsum Contract is a contract under which the contractor engages to carry out a work or effect supply as specified and within a given period for a fixed total sum; his receipt of this sum being dependent on his completing the work or supply to specification and time, irrespective of the actual quantities and kinds of work done of materials supplied in achieving his results (c. f. para 403 S).

Lumpsum Contract • In the case of such contracts a scale of rates or prices may be agreed upon by which enhancement of or reduction from the lumpsum may be regulated in the event of any departures from the work or supply as specified being made subsequently under the order of competent authority; or by which reductions may be made, at the discretion of competent authority for failure on the contractor's part to conform to specification. (c. f. paras 1328 and 404 S).

LUMPSUM CONTRACTS Merits: easy to finalize, do not result in the tender vitiation, do away with the need of the detailed measurements, and readily indicate the cost of work.

EPC CONTRACTS • EPC stands for Engineering, Procurement, Construction and is a prominent form of contracting agreement in the construction industry. • The engineering and construction contractor will carry out the detailed engineering design of the project, procure all the equipment and materials necessary, and then construct to deliver a functioning facility or asset to their clients. • Companies that deliver EPC Projects are commonly referred to as EPC Contractors. 63

NEED FOR EPC CONTRACT Conventional item-rate contracts are generally prone to time & cost overrun due to: o Involvement of multiple agencies- generally a new line/doubling project involves 15 to 20 different value contracts o Failure of even one contract delays the project o Lack of flexibility in replacing failed agency on real time basis 64

NEED FOR EPC CONTRACT Problems in Conventional item-rate contract: • Allocation of construction risks are largely to Railway, particularly the onus of design which many times lead to: o Delays in design and drawings by the Railway o Variation in items and quantities • Considerable time of Project Engineers is consumed in processing of: o Variation in quantity of items o Introduction of NS items o Variation in contract price 65

OBJECTIVE OF EPC CONTRACT • Implementation of project to specified standards with a fair degree of certainty relating to time & cost while transferring the construction risk to contractor. • Awarding contract for a LS price ensures predictability and financial discipline both for Government & Contractor. • Well defined system of obligation associated with damages both for Railway & Contractor. • Assigning risk to the party who is in a better position to mitigate it e. g. land, statutory clearances assigned to Railway whereas design, site uncertainty, sub contracting are assigned to contractor. 66

Perceived Advantage of EPC • • • Effective project management - less no. of contracts to mange. Engagement of professionally managed agencies. Well defined system of obligation associated with damages both for Railway & Contractor. Assigning risk to the party who is in a better position to mitigate it e. g. land, statutory clearances assigned to Railway whereas design, site uncertainty, sub contracting are assigned to contractor. Milestone based payments. 67

CONSULTANCY CONTRACT • Consultancy Contracts are required for advisory services for works requiring highly specialized technical assistance • These could be – pre-investment studies, – specialized design of structures using computers such as bridge or multistoried buildings, – acoustics and illumination in auditorium or important buildings, – architecture or landscaping of important structures etc.

MODEL SOP. Item 5 of Works Matter • Consultancy works for other than property development schemes from outside bodies including PPP projects • Consultancy works for property development schemes i. e. , for commercial exploitation from outside bodies

CONSULTANCY CONTRACT GM (a)For PPP project (other than property development)- Rs 2 cr. And other work –Rs 1 cr. , with annual ceiling of Rs. 6 cr. (b) For property development- Rs. 2. 5 cr , with annual ceiling of Rs 12. 5 cr. TC-SAG CAO Rs 50 lakh each case, with annual ceiling of Rs. 3 cr, TCSAG PCE/ Rs 10 lakh each case, with annual ceiling of Rs 20 lakh, TCCHO SAG D • If on single tender basis: Gm’s personal approval. DRM Rs 5 lakh each case with annual ceiling of Rs. 10 lakh. TC(vide lt no. F(X)II/2016/PW/3 dt JAG 14/09/2016)

CONSULTANCY CONTRACT To incurrence of expenditure in engaging /obtaining consultancy services from outside (for calling tender) GM Rs. 10 Crore per case with concurrence of PFA Further delegate as under CAO Rs 50 lakh each case, with annual ceiling of Rs. 5 cr. PCE/ Rs 20 lakh each case, with annual ceiling of Rs 1. 5 cr CHOD DRM Rs 10 lakh each case with annual ceiling of Rs. 1. 5 cr. Minimum level of tender acceptance - SAG level Means minimum level of TC- JAG/SG (vide lt no. 2017/Trans/01/Policy dt 8/11/2017)

CONSULTANCY CONTRACT For single tender – TC shall be of SAG level If contract is to be fixed only on single tender basis due to spl circumstances- GM’ personal approval irrespective of value of contract

Documents forming integral part of contracts • The conditions of contract, standard or special • The specifications, standard or special • Any plans/drawings necessary • The schedule of items, quantities and rates • The agreement form • Instructions to tenderers • Tender forms

Specification and Drawings • The execution of works and supply of materials on contract should be according to standard specifications and drawings, whenever possible rather than to sample. • If no standard specifications exist for any item or work or supply, a complete specification of the item and of the materials to be used should be prepared and embodied to the contract documents. • For special works, complete sets of drawings showing the general dimensions of the proposed work, and if need be, details of the various parts should be prepared and made available for reference by intending tenderers.

Conditions of Contract • The conditions of contract may be either standard or special. • The standard conditions of contract are prescribed by the Railway Board (GCC). • In addition special conditions may be prescribed when considered necessary.

General Condition Of Contract ( GCC) Framed by Railway Board, but published by each Zonal Railway separately. They are applicable for all the Works Contracts. GCC of Service Contracts is also available. If any of the GCC Clause is to be varied , the same shall be done with concurrence of Finance and approval of GM, before calling tender; unless some other variation is allowed by Railway Board. In case of any conflict between provisions of GCC and SCC, the provisions of SCC prevail.

Standard Tender Document S. No 1 Tender at a glance 2 3 Description Section I- Tender information- ( Tender Notice and Forwarding letter from the tenderer while submitting the tender) Section II ---- Instructions to the tenderer 4 Section III --- Important Clauses of General Conditions of Contract. 5 Section IV--Special Conditions of Contract (General ) 6 Section V-- Safety Precautions during execution of work. 7 Acceptance of tender 8 Agreement for works 9 Section VI-- Scope of Work & Specification for ………… 10 Section VII-- Tender schedule & Offer sheet

Why GCC : • Rules of The Contract – Before the game start • Written Procedures for Uniform Implementation • To avoid mistakes • Each Para is numbered for easy reference • Both for Railways and Contractors • If any of the GCC Clause is to be varied , the same shall be done with concurrence of Finance (PFA) and approval of GM, before calling tender; unless some other variation is allowed by Railway Board. 78

GCC • GCC 2014 GCC 2018 (Nov’ 18) GCC-2019 (issued on 06/09/2019) Current GCC is GCC- July 2020 (16. 07. 2020) 79

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GCC-Contents • PART-I • REGULATIONS FOR TENDERS AND CONTRACTS (FOR THE GUIDANCE OF ENGINEERS & CONTRACTORS FOR WORKS CONTRACTS) • PART II • STANDARD GENERAL CONDITIONS OF CONTRACT (FOR USE IN CONNECTION WITH WORKS CONTRACTS) 85

GCC-Contents Part-I: Regulation for Tenders and Contract Para 1. 2. 3. 4. 5. 6. 7. 7 A. 8. 9. Subject Meaning Of Terms: 1. 01 -Order of Precedence of Document. Credentials Of Contractors Application For Registration Tenders For Works Tender Forms Omission And Discrepancies Earnest Money Care In Submission Of Tenders Consideration Of Tenders Right Of Railway To Deal With Tenders Two Packets System of Tendering Contract Documents Execution Of Contract Documents Form Of Contract Documents Annexures for Tender Form, Agreement For Zone Contract, Work Order Under Zone Contract, Form For Contract Agreement Of Works, Format for Affidavit, Bid capacity. 86

Para Subject Annexures : Annexure-I Tender Form First Sheet Second Sheet 10. Eligibility Criteria: 10. 1 Technical Eligibility Criteria: 10. 2. Financial Eligibility Criteria: 11. Tenderer Credentials Third Sheet Annexure-II Agreement for Zone Contract Annexure-III Work Order Under Zone Contract Annexure-IV Form for Contract Agreement Of Works Annexure-V Format for Certificate Affidavit to be submitted / Uploaded by Tenderer alongwith the tender documents 87 Annexure-VI Tenderer’s Credentials (Bid Capacity)

Part-II: Standard General Conditions of Contract Para 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13 14. 15. 16. 17. Subject Definitions And Interpretation General Obligations Execution, Co-Relation And Intent Of Contract Documents (1) Law Governing The Contract (2) Compliance To Regulations And Bye-Laws Communication To Be In Writing Service Of Notices On Contractors Occupation And Use Of Land Assignment Or Sub-Letting Of Contract Assistance By The Railway For The Stores To Be Obtained By The Contractor Railway Passes Carriage Of Materials Use Of Ballast Train Representation On Works Relics And Treasures Excavated Material Indemnity By Contractors (1) Security Deposit (2) Recovery Of Security Deposit (3) Interest On Amount (4) Performance Guarantee Force Majeure Clause 88

Part-II: 17 -A. 17 -B. 18. 19. 20. 21. 22. 23. 24. 25. Extension Of Time In Contracts (i) Extension Due To Modification (ii) Extension For Delay Not Due To Railway/Contractor (iii) Extension Of Time For Delay Due To Railway Extension Of Time For Delay Due To Contractor (1) & (2) Illegal Gratification Execution Of Works (1) Contractor's Understanding (2) Commencement Of Works (3) Accepted Programme Of Works (4) Setting Out Of Works (1) Compliance To Engineer's Instructions (2) Alterations To Be Authorised (3) Extra Works (4) Separate Contracts In Connection With Works Instructions Of Engineer's Representative (1) Adherence To Specification And Drawings (2) Drawings And Specifications Of The Works (3) Ownership of Drawings And Specifications (4) Compliance With Contractor's Request For Details (5) Meaning And Intent Of Specifications And Drawings Working During Night Damage To Railway Property Or Private Life And Property Sheds, Stores-Houses And Yards GCC-Contents 89

Part-II: 26. 26 A. 27. 28. 29. 30. 31. 32. 33. 34. 35. 36. 37. 38. 39. 40. Provision Of Efficient And Competent Staff At Work Sites By Contractor GCC-Contents Deployment Of Qualified Engineers At Work Sites By Contractor (1) Workmanship And Testing (2) Removal Of Improper Work And Materials Facilities For Inspection Examination Of Works Before Covering Up Temporary Works (1) Contractor To Supply Water For Works (2) Water Supply From Railway System (3) Water Supply By Railway Transport (4) (A) Contractor To Arrange Supply Of Electric Power For Works (B) Electric Supply From The Railway System Property In Materials And Plants (1) Tools, Plant And Materials Supplied By Railway (2) Hire Of Railway Plant (1) Precautions During Progress Of Works (2) Roads And Water Courses (3) Provision Of Access To Premises (4)safety of Public (4) Safety of Public (5) Display of Board Use Of Explosives (1) & (2) Suspension Of Works (3) Suspension Lasting More Than Three Months Rates For Items Of Works Demurrage And Wharfage Dues Rates For Extra Items Of Works (1) Handing Over Of Works (2) Clearance Of Site On Completion 90

GCC-Contents 41. 42. 43. 44. 45. 46. 46 A. Part-II: Variations In Extent Of Contract Modification To Contract To Be In Writing (1) & (2) Power Of Modifications To Contract (3) Valuation Of Variations (4) Variations In Quantities During Execution Of Works Contracts Claims (1) Quarterly Statement Of Claims (2) Signing Of ’No Claim Certificate’ Measurement, Certificates And Payments Quantities In Schedule Annexed To Contract Measurements Of Works (1) "On Account” Payments (2) Rounding Off Amounts (3) "On Account” Payments Not Prejudicial To Final Settlement (4) Manner Of Payment Price Variation Clause (PVC) 1. - Applicability 2. - Base Month 3. - Validity 4. to 6. - Components & Percentages 7. to 9. - Formulae etc. 10. - Price Variation During Extended Period Of Contract 91

GCC-Contents 47. Part-II: Maintenance Of Works (1) Certificate Of Completion Of Works 48. (2) Contractor Not Absolved By Completion Certificate (3) Final Supplementary Agreement 49. Approval Only By Maintenance Certificate (1) Maintenance Certificate 50. (2) Cessation Of Railway’s Liability (3) Unfulfilled Obligations 51. 51 -A. 52 -A. 53. (1) Final Payment (2) Post Payment Audit Production Of Vouchers Etc. By The Contractor Withholding And Lien In Respect Of Sums Claimed Lien In Respect Of Claims In Other Contracts Signature On Receipts For Amounts 92

Part-II: Labour 54. 54 -A. 55 -A. 55 -B. 55 -C. 56. 57 -A. 58. 59. 60. Wages To Labour Apprentices Act Provisions Of Payments Of Wages Act Provisions Of Contract Labour (Regulation And Abolition) Act, 1970 Provisions of Employees Provident Fund and Miscellaneous Provisions Act, 1952 Provisions of “The Building and Other Construction Workers (RECS) Act, 1996” and “The Building and Other Construction Workers’ Welfare Cess Act, 1996” : Reporting Of Accidents Provision Of Workmen's Compensation Act Provision Of Mines Act Railway Not To Provide Quarters For Contractors (1) Labour Camps (2) Compliance To Rules For Employment Of Labour (3) Preservation Of Peace (4) Sanitary Arrangements (5) Outbreak Of Infectious Diseases (6) Treatment Of Contractor's Staff In Railway Hospitals (7) Medical Facilities At Site (8) Use Of Intoxicants (9) Restriction On The Employment Of Retired Engineers Of Govt. Services Within Two Years Of Their Retirement (1) (2) (3) (4) Non-Employment Of Labourers Before The Age Of 15 Years Medical Certificate Of Fitness For Labour Period Of Validity Of Medical Fitness Certificate Medical Re-Examination Of Labourer 93

Part-II: 61. 62. 63. 64. GCC-Contents Determination Of Contract (1) Right of Railway To Determine Contract (2) Payment On Determination Of Contract (3) No Claim On Compensation (1) Determination Of Contract Owing To Default Of Contractor (2) Right Of Railway After Rescission Of Contract Owing To Default Of Contractor Settlement Of Disputes Reconciliation of disputes (1) Matters Finally Determined By The Railway (1) Demand For Arbitration (2) Obligations During Pendency Of Arbitration (3) Appointment Of Arbitrator (4), (5), (6) & (7) - Arbitral Award &General Annexures : Proforma For Time Extension, Certificate Of Fitness, Proforma Of 7 Days’ Notice, Proforma Of 48 Hrs. Notice, Proforma Of Termination Notice, Proforma Of 48 Hrs. Notice & Termination Notice (Part termination) 94

PART-I REGULATIONS FOR TENDERS AND CONTRACTS 95

ORDER of PRECEDENCE of Documents : In a tender/contract Where there is any discrepancy, conflict or contradiction, with regard to conditions of tender/contract, the following shall be the order of precedence: i. Letter of Award ii. Schedule of Items, Rates & Quantities iii. Special Conditions of Contract. In case of any conflict between provisions of GCC and SCC, the provisions of SCC prevail iv. Technical Specifications as given in tender documents v. Drawings This is to be clearly stated in the tender document 96

Order of precedence: GCC July 2020 • vi. Indian Railways Standard General Conditions of Contract updated with correction slips issued up to date of inviting tender or as otherwise specified in the tender documents. • vii. CPWD Specifications 2019 Vol I & II updated with correction slips issued up to date of inviting tender or as otherwise specified in the tender documents, if applicable in the contract. • viii. Indian Railways Unified Standard Specification (IRUSS-2019) updated with correction slips issued up to date of inviting tender or as otherwise specified in the tender documents, if applicable in the contract. This is to be clearly stated in the tender document 97

Order of precedence: GCC July 2020 • ix. Indian Railways Unified Standard Specifications (Works and Material) 2010 • updated with correction slips issued up to date of inviting tender or as otherwise specified in the tender documents, if applicable in the contract. • x. IR Specifications/Guidelines • updated with correction slips issued up to date of inviting tender or as otherwise specified in the tender documents. • xi. Relevant B. I. S. Codes • updated with correction slips issued up to date of inviting tender or as otherwise specified in the tender documents. 98

TENDER 1. 2 Definition: (GCC) • (f) “Tenderer” shall mean the person / firm / cooperative or company whether incorporated or not who tenders for the works with a view to execute the works on contract with the Railway and shall include their representatives, successors and permitted assigns. • (m) “Contractor’s authorized Engineer” shall mean a graduate engineer or equivalent, having more than 3 years experience in the relevant field of construction work involved in the contract, duly approved by the Engineer. 99

1. 2 Definition: • “Railway” : President of the Republic of India or the Administrative Officers of the Railway or Successor Railway authorized to deal with any matters. • “ENGINEER” : Divisional Engineer or the Executive Engineer, DSTE, DEE in executive charge of the works. Includes the superior officers of Open Line and Construction organisations i. e. the Senior Divisional Engineer/Deputy Chief Engineer. 100

1. 2 Definition: GCC July 2020 • (n) Date of inviting tender shall be the date of publishing tender notice on IREPS website if tender is published on website or the date of publication in newspaper in case tender is not published on website. GCC July 2020 101

Tender Form • 3. Tender Form: Tender Forms shall embody the contents of the contract documents either directly or by reference and shall be as per specimen form, Annexure-I. • e-Tender Forms shall be issued free of cost to all tenderers. 102

3. Tender Form COST OF TENDER FORMS GCC July 2020 – No Tender cost (Clause 3 of Part I) 103

TENDERS FOR WORKS GCC July 2020 • 3. Tender Form: Tender Forms shall embody the contents of the contract documents either directly or by reference and shall be as per specimen form, Annexure-I. • e-Tender Forms shall be issued free of cost to all tenderers. GCC July 2020 104

4. Omissions & Discrepancies • Discrepancies/ omissions should be notified by Tenderer to the authority inviting tenders, The tender inviting authority may, if deemed necessary, clarify the same to all tenderers. • It shall be understood that every endeavour has been made to avoid any error and successful tenderer shall take upon himself and provide for the risk of any error which may subsequently be discovered and shall make no subsequent claim on account thereof. 105

5. EARNEST MONEY For the due performance of the stipulation to keep the offer open till such date as specified in the tender. (In IREPS i. e. e-Tendering : validity of EMD dose not matter as tenderer paying EMD online. ) Subsequent to award/acceptance of tender, it becomes a part of Security deposit. (2) The Earnest Money shall be deposited in cash through e-payment gateway or as mentioned in tender documents. 106

5. EARNEST MONEY GCC July 2020 Value of the Work Earnest Money Deposit (EMD) 107

5. EARNEST MONEY 2% of the estimated tender value for works costing up to Rs one crore. Rs 2 lakh plus ½ % (half percent) of amount excess of Rs 1 crore for works costing more than Rs one crore subject to a maximum of Rs. 1 crore. • Shall be applicable for all modes of tendering i. e. Open/ Limited/ Single, etc. (i) To be rounded off to nearest Rs. 100/(ii) Any firm recognized by Department of Industrial Policy and Promotion (DIPP) as ‘Startups’ shall be exempted from payment of earnest money deposit detailed above. (iii) 100% Govt. owned PSUs shall be exempt from payment of earnest money deposit detailed above. (GCC July 2020) (iv) Labour Cooperative Societies shall deposit only 50% of above earnest money deposit detailed above. (GCC July 2020) 108

5. EARNEST MONEY Refund of EMD to Unsuccessful Tenderers Ref: RB no. 2007/CE-I/CT/18(Pt. I) dt 10. 09. 2008 • In case of single packet: On issue of LOA refund EMD of all tenderers except awarded one. • If Negotiation: On acceptance of TC for Negotiation, refund all except negotiation party. • After validity: those not extending - refund • In Two Packet System : After TC acceptance of first packet refund EMD of those not found suitable. • EMD of successful tenderer to be converted into SD. 109

6. Care in Submission of Tenders: • 6(a) (i) Before submitting a tender, the tenderer will be deemed to have satisfied himself by actual inspection of the site and locality of the works, that all conditions liable to be encountered during the execution of the works are taken into account and that the rates he enters in the tender forms are adequate and all inclusive to accord with the provisions in Clause-37. 110

6. Care in Submission of Tenders: GCC July 2020 • 6(a)(iii) The successful tenderer who is liable to be registered under CGST/IGST/UTGST/SGST Act shall submit GSTIN along with other details required under CGST/IGST/UTGST/SGST Act to railway immediately after the award of contract, without which no payment shall be released to the Contractor. The Contractor shall be responsible for deposition of applicable GST to the concerned authority. • 6(a)(iv) In case the successful tenderer is not liable to be registered under CGST/IGST/UTGST/ SGST Act, the railway shall deduct the applicable GST from his/their bills under reverse charge mechanism (RCM) and deposit the same to the concerned authority. 111

6. Care in Submission of Tenders 6. 1 • The tenderers shall submit a copy of notarized affidavit on a non- judicial stamp paper* certificate stating that all their statements/documents submitted alongwith bid are true and factual. ( Standard format as Annexure-V) • ( Advance correction slip no. 1 to GCC-2019, dt 12. 05. 2020) • Non submission of notarized affidavit certificate shall result in summarily rejection of bid. • It shall be mandatory for tenderer to identify, state and submit the supporting documents duly self attested in support of Qualifying Criteria mentioned in the Tender Document. 112

6. Care in Submission of Tenders: • 6. 1 The tenderers shall submit a copy of certificate stating that all their statements/documents submitted along with bid are true and factual. • Standard format of certificate to be submitted by the bidder is enclosed as Annexure-V. • Non submission of above certificate by the bidder shall result in summarily rejection of his/their bid. • It shall be mandatorily incumbent upon the tenderer to identify, state and submit the supporting documents duly self attested by which they/he is qualifying the Qualifying Criteria mentioned in the Tender Document. GCC July 2020 113

7. Rights of the Railway to deal with Tender: GCC July 2020 • 7. The Railway reserves the right of • not to invite tenders for any of Railway work or works or to invite open or limited tenders and • when tenders are called to accept a tender in whole or in part or reject any tender or all tenders without assigning reasons for any such action. • 7 B. Provisions of Make in India Policy 2017 issued by Govt. of India, as amended from time to time, shall be followed for consideration of tenders. GCC July 2020 114

8. Execution of Contract Document • The Tenderer whose tender is accepted shall appear in person and execute the contract documents within 7 days of notice that the contract agreement is ready. • The Contract Agreement shall be executed only after submission of valid Performance Guarantee. • If the successful tenderer refuses to execute the contract document the Railway may conclude that tenderer has abandoned the contract and acceptance shall be treated as cancelled. • Railway shall be entitled to forfeit the full amount of the EMD and other dues payable to the contractor. • The failed Contractor shall be debarred from participating in the re-tender for that work. 115

Annexure- I TENDER FORM Important Provisions 116

Para 3. of Annexure -I • The tenderer(s) shall quote rates / rebates only at specified place in Tender Form supplied by Railway. • Any revision of rates / rebates submitted (quoted) through a separate letter whether enclosed with the bid (Tender Form) or submitted separately or mentioned elsewhere in the document other than specified place shall be summarily ignored and will not be considered. Para 6. of Annexure –I: EMD Offer Validity Period: • 45 days (60 days in case of Two Packet System). 117

ANNEXURE – I TENDER FORM (Second Sheet) GCC July 2020 • 6(b) The Tenderer(s) shall keep the offer open for a minimum period of 45 days (in case of two packet system of tendering 60 days) from the date of opening of the Tender. • (d) In case Contractor submits the Term Deposit Receipt/Bank Guarantee Bond towards full Security Deposit, the Railway shall return the Earnest Money so retained to the Contractor. 118

10. ELIGIBILITY CRITERIA LOWEST BIDDER May be without eligibility. Will not be L 1 • 10. 4 No Technical and Financial credentials are required for tenders having value up to Rs 50 lakh. 119

ELIGIBILITY CRITERIA (MODEL SOP) • To be stipulated for open tenders costing > Rs. 50 Lakhs As per the Report of Sudhir Chandra Committee and Model SOP. • For relaxation in prescribed eligibility for open tenders > 50 lakh • In open line – personal approval of GM with FA&CAO’s concurrence • In construction – personal approval of CAO/C with FA&CAO/C’s concurrence • This power shall not be delegated further. • For inserting additional criteria – decision of PHOD 120

ELIGIBILITY CRITERIA- Technical Should have completed in the last three financial years ( i. e. current year and three previous financial years): At least one similar single work, for a minimum value of 35% of Advertised Tender Value of Work. 121

ELIGIBILITY CRITERIA- Technical The tenderer must have successfully completed any of the following during last 07 years, ending last day of month previous to the one in which tender is invited: Three similar works costing not less than the amount equal to 40% of advertised value of the tender, or Two similar works costing not less than the amount equal to 50% of advertised value of the tender, or One similar work costing not less than the amount equal to 80% of advertised value of the tender. GCC-2018 122

ELIGIBILITY CRITERIA- Technical (GCC-July 2020) 10. 1 (a) The tenderer must have successfully completed any of the following during last 07 years, ending last day of month previous to the one in which tender is invited: Three similar works each costing not less than the amount equal to 30% of advertised value of the tender, or Two similar works each costing not less than the amount equal to 40% of advertised value of the tender, or One similar work costing not less than the amount 123

ELIGIBILITY CRITERIA- Technical Work experience certificate from private individual- shall not be considered. From any Govt. Organisation- considered. work experience certificate issued by Public listed company shall also be considered provided. having average annual turnover of Rs 500 crore and above in last 3 financial years excluding the current financial year, listed on National Stock Exchange or Bombay Stock Exchange, incorporated/registered atleast 5 years prior to the date of opening of tender, the work experience certificate has been issued by a person authorized by the Public listed company to issue such certificates. 124

ELIGIBILITY CRITERIA- Technical Work experience certificate In case tenderer submits work experience certificate issued by public listed company, the tenderer shall also submit along with work experience certificate, the relevant copy of work order, bill of quantities, bill wise details of payment received duly certified by CA, TDS certificates for all payments received and copy of final/last bill paid by company in support of above work experience certificate. 125

ELIGIBILITY CRITERIA- Technical In case of composite works (e. g. works involving more than one distinct component, such as Civil Engineering works, S&T works, Electrical works, OHE works etc. and in the case of major bridges – substructure, superstructure etc. ), tenderer must have successfully completed any of the following during last 07 (seven) years: Three similar works each costing not less than 30% of advertised value of each component of tender, or Two similar works each costing not less than 40% of advertised value of each component of tender, or One similar work each costing not less than 60% of advertised value of each component of tender. 126

ELIGIBILITY CRITERIA- Technical Composite works Note: Separate completed works of minimum required values for each component can also be considered for fulfillment of technical eligibility criteria. 10. 1. (b) (ii) In such cases, what constitutes a component in a composite work shall be clearly predefined with estimated tender cost of it, as part of the tender documents without any ambiguity. Any work or set of works shall be considered to be a separate component, only when cost of the component is more than 2 crore each. GCC July 2020 127

ELIGIBILITY CRITERIA- Technical Completed work even though the work might have commenced before the qualifying period. o Total value of similar nature of works completed during the qualifying period, and not the payments received within the qualifying period alone, should be considered. o In case, final bill of similar nature of work has not been passed, paid amount including statutory deductions is to be considered. However, if final measurements have been recorded and work has been completed with positive variation but variation has not been sanctioned, original contract value of work should be considered for judging eligibility. 128

ELIGIBILITY CRITERIA- Technical • Similar nature of works is to be clearly defined by PHOD on open line and nominated CE/CSTE/CEE on construction organization and the same is to be indicated in NIT/Tender documents. • In case of deviation / modification in the list of similar nature of works, prior approval of PHOD to be taken. 129

10. 1 Technical Eligibility Criteria: GCC July 2020 • (b) (iii) To evaluate the technical eligibility of tenderer, only components of work as stipulated in tender documents for evaluation of technical eligibility, shall be considered. • The scope of work covered in other remaining components shall be either executed by tenderer himself if he has work experience as mentioned in clause 7 (a) (ii) of Part-II of GCC or through subcontractor fulfilling the requirements as per clause 7 of Part-II of GCC or jointly i. e. , partly himself and remaining through subcontractor, with prior approval of Chief Engineer in writing. GCC July 2020 130

10. 1 Technical Eligibility Criteria: GCC July 2020 • However, if required in tender documents by way of Special Conditions, a formal agreement duly notarised, legally enforceable in the court of law, shall be executed by the main contractor with the subcontractor for the component(s) of work proposed to be executed by the subcontractor(s), and shall be submitted along with the offer for considering subletting of that scope of work towards fulfilment of technical eligibility. GCC July 2020 • In case after award of contract or during execution of work it becomes necessary for contractor to change subcontractor, the same shall be done with subcontractor(s) fulfilling the requirements as per clause 7 of Part-II of GCC, with prior approval of Chief Engineer in writing. GCC July 2020 131

ELIGIBILITY CRITERIA- Financial GCC July 2020 10. 2 Total contract amount received during the last three financial years and in the current financial year upto date of opening : Should be a minimum of 150% of Advertised Tender Value of Work. The tenderers shall submit Certificates to this effect which may be an attested Certificate from the concerned department / client or Audited Balance Sheet duly certified by the Chartered Accountant/ Certificate from Chartered Accountant duly supported by Audited Balance Sheet. GCC July 2020 Note for 10. 2: • Client certificate from other than Govt. Organization should be duly supported by Form 16 A/26 AS generated through TRACES of Income Tax Department of India. GCC July 2020 132

10. Eligibility Criteria: • 10. 3 Bid Capacity: The tender/technical bid will be evaluated based on bid capacity formula detailed as Annexure-VI. • 10. 4 No Technical and Financial credentials are required for tenders having value up to Rs 50 lakh. • 10. 5 Credentials if submitted in foreign currency shall be converted into Indian currency i. e. , Indian Rupee (refer GCC July 2020). 133

Explanation for clause 10 including clause 10. 1 to 10. 5 - Eligibility Criteria: (GCC July 2020) • 1. In case a work is started prior to 07 (seven) years, ending last day of month previous to the one in which tender is invited, but completed in last 07 (seven) years, ending last day of month previous to the one in which tender is invited, the completed work shall be considered for fulfillment of credentials. • 2. If a work is physically completed and completion certificate to this extent is issued by the concerned organization but final bill is pending, such work shall be considered for fulfillment of credentials. • 3. If a part or a component of work is completed but the overall scope of contract is not completed, this work shall not be considered for fulfillment of technical credentials even if the cost of part completed work/component is more than required for fulfillment of credentials. 134

Explanation for clause 10 including clause 10. 1 to 10. 5 - Eligibility Criteria: (GCC July 2020) • 4. In case a work is considered similar in nature for fulfillment of technical credentials, the overall cost of that work including PVC amount if any shall be considered and no separate evaluation for each component of that work shall be made to decide eligibility. • 5. The value of final bill including PVC amount-if paid, or otherwise in case final bill is pending the contract cost in last approved variation statement plus PVC amount paid or cumulative amount paid up to last on-account bill including PVC amount and statutory deductions whichever is less, shall be considered as the completion cost of work. 135

Explanation for clause 10 including clause 10. 1 to 10. 5 - Eligibility Criteria: (GCC July 2020) • (Item 6 to 14 refer separatly from GCC July 2020) • Related to Partnership firm, LLP 136

ANNEXURE – VI ELIGIBILITY CRITERIA- Bid Capacity GCC July 2020 • For tenders costing more than Rs 20 crore wherein eligibility criteria includes bid capacity also, the tenderer will be qualified only if its available bid capacity is equal to or more than the total bid value of the present tender. The available bid capacity shall be calculated as under: The available bid capacity shall be calculated as = [A x N x 2] – B 137

ELIGIBILITY CRITERIA- Bid Capacity Available Bid Capacity = [A x N x 2] – B • A = Maximum value of construction works executed and payment received in any one financial year during the current and last 3 financial years, taking into account the completed as well as works in progress. • N = Number of years prescribed for completion of work for which bids has been invited. • B = Value of existing commitments and balance amount of ongoing works with the tenderer to be completed in next ‘N’ years. 138

ELIGIBILITY CRITERIA- Bid Capacity • The Tenderer shall furnish the details of existing commitments and balance amount of ongoing works with tenderer as per the prescribed proforma of Railway. • In case of no works in hand, a ‘NIL’ statement. • failed to submit the above statement along with offer, offer shall be considered as incomplete and will be rejected summarily. • In case, the available Bid Capacity is lesser than estimated cost of work, his offer shall not be considered even if he has been found eligible in other eligibility criteria/tender requirement. 139

Tenderer’s credential Para 11. of Annexure -I ( Ref 2017/Trans/01/Policy dt 08. 02. 2018)- Incorporated in GCC-2018 Para 11(iv) : affidavit based system of credential verification. A notarized affidavit on a non-judicial stamp paper in Standard format to be submitted by the bidder. Non submission of a copy of notarised affidavit by the bidder shall result in summarily rejection of bid. • Care shouuld be taken to modify this para in tender document in view of recent ‘Advance correction slip no. 1’ 140

11. Tenderer Credentials: ANNEXURE – I TENDER FORM (Second Sheet) GCC July 2020 Documents testifying tenderer previous experience and financial status should be produced along with the tender. (i) Certificates and testimonials regarding contracting experience for the type of job for which tender is invited with list of works carried out in the past. (ii) Certificates which may be an attested Certificate from the client, Audited Balance Sheet duly certified by the Chartered Accountant etc regarding contractual payments received in the past. (iii) The list of personnel / organization on hand proposed to be engaged for the tendered work. Similarly list of Plant & Machinery available on hand proposed to be inducted and hired for the tendered work. 141

11. Tenderer Credentials: *** ANNEXURE – I TENDER FORM (Second Sheet) GCC July 2020 • (iv) A copy of notarized affidavit certificate stating that they are not liable to be disqualified and all their statements/documents submitted alongwith bid are true and factual. • Standard format of the certificate to be submitted by the bidder is enclosed as Annexure-V. • Non submission of a copy of certificate by the bidder shall result in summarily rejection of his/their bid. • It shall be mandatorily incumbent upon the tenderer to identify, state and submit the supporting documents duly self attested by which they/he are/is qualifying the Qualifying Criteria mentioned in the Tender Document. 142

11. Tenderer Credentials: ANNEXURE – I TENDER FORM (Second Sheet) (v) The Railway reserves the right to verify all statements, information and documents submitted by the bidder in his tender offer, and the bidder shall, when so required by the Railway, make available all such information, evidence and documents as may be necessary for such verification. Any such verification or lack of such verification, by the Railway shall not relieve the bidder of its obligations or liabilities hereunder nor will it affect any rights of the Railway thereunder. (vi) (a) In case of any information submitted by tenderer is found to be false forged or incorrect at any time during process for evaluation of tenders, it shall lead to forfeiture of the tender Earnest Money Deposit besides banning of business for a period of upto five years. 143

11. Tenderer Credentials: ANNEXURE – I TENDER FORM (Second Sheet) • (b) In case of any information submitted by tenderer is found to be false forged or incorrect after the award of contract, the contract shall be terminated. Earnest Money Deposit (EMD), Performance Guarantee and Security Deposit available with the railway shall be forfeited. In addition, other dues of the contractor, if any, under this contract shall be forfeited and agency shall be banned for doing business for a period of upto five years. • 12. Non-compliance with any of the conditions set forth therein above is liable to result in the tender being rejected. 144

14. Documents to be Submitted Along with Tender GCC July 2020 • (i) The tenderer shall clearly specify whether the tender is submitted on his own (Proprietary Firm) or on behalf of a Partnership Firm / Company / Joint Venture (JV) / Registered Society / Registered Trust / HUF etc. The tenderer(s) shall enclose the attested copies of the constitution of their concern, and copy of PAN Card along with their tender. • Tender Documents in such cases are to be signed by such persons as may be legally competent to sign them on behalf of the firm, company, association, trust or society, as the case may be. 145

14. Documents to be Submitted Along with Tender GCC July 2020 (ii) Following documents shall be submitted by the tenderer: • (a) Sole Proprietorship Firm: • (i) An undertaking that he is not blacklisted or debarred by Railways or any other Ministry / Department of Govt. of India from participation in tender on the date of opening of bids, either in individual capacity or as a member of the partnership firm or JV in which he was / is a partner/member. • Concealment / wrong information in regard to above shall make the contract liable for determination under Clause 62 of the General Conditions of Contract. • (ii) All other documents in terms of explanatory notes in clause 10 above. 146

14. Documents to be Submitted Along with Tender GCC July 2020 • (iii) If it is NOT mentioned in the submitted tender that tender is being submitted on behalf of a Sole Proprietorship firm / Partnership firm / Joint Venture / Registered Company etc. , then the tender shall be treated as having been submitted by the individual who has signed the tender. • (iv) After opening of the tender, any document pertaining to the constitution of Sole Proprietorship Firm / Partnership Firm / Registered Company/ Registered Trust / Registered Society / HUF etc. shall be neither asked nor considered, if submitted. • Further, no suo moto cognizance of any document available in public domain (i. e. , on internet etc. ) or in Railway’s record/office files etc. will be taken for consideration of the tender, if no such mention is available in tender offer submitted. (GCC July 2020) 147

Power of Attorney • 15. The tenderer whether sole proprietor / a company or a partnership firm / joint venture (JV) / registered society / registered trust / HUF etc if they want to act through agent or individual partner(s), should submit along with the tender, a copy of power of attorney duly stamped and authenticated by a Notary Public or by Magistrate in favour of the specific person whether he/they be partner(s) of the firm or any other person specifically authorizing him/them to submit the tender, sign the agreement, receive money, co-ordinate measurements through contractor’s authorized engineer, witness measurements, sign measurement books, compromise, settle, relinquish any claim(s) preferred by the firm and sign "No Claim Certificate" and refer all or any disputes to arbitration. The above power of attorney shall be submitted even if such specific person is authorized for above purposes through partnership deed / Memorandum of Understanding / Article of Association or such other document, failing which tender is liable to be rejected. (GCC July 2020) 148

16. Employment/Partnership etc. of Retired Railway Employees: • (a) Should a tenderer • i) be a retired Engineer of the gazetted rank or any other gazetted officer working before his retirement, . . • AND • in case where such Engineer or officer had not retired from government service at least 1 year prior to the date of submission of the tender • THEN • the tenderer will give full information as to the date of retirement of such Engineer or gazetted officer. . . . and as to whether permission for taking such contract, . . . . from the President of India or any officer, duly authorized by him in this behalf, shall be clearly stated in writing at the time of submitting the tender. GCC July 2020 149

16. Employment/Partnership etc. of Retired Railway Employees: • b) In case, upon successful award of contract, should a tenderer depute for execution of the works under or to deal matters related with this contract, any retired Engineer of gazette rank or retired gazetted officer working before his retirement in the Engineering or any other department of any of the railways owned and administered by the President of India for the time being, and now in his employment, then the tenderer will ensure that retired Engineer or retired gazetted officer had retired from government service at least 1 year prior to the date of his employment with tenderer and in case he had retired from service within a year then he possesses the requisite permission from the President of India or any officer, duly authorized by him in this behalf, to get associated with the tenderer. GCC July 2020 150

16. Employment/Partnership etc. of Retired Railway Employees: • Note: -If information as required as per 16. a), b), c) above has not been furnished, contract is liable to be dealt in accordance with provision of clause 62 of Standard General Condition of contract. GCC July 2020 151

Type of tenders • Type of tenders: • The following are different types of tenders to be invited. • Single packet tenders • Two packet tender in single stage • Two packet tender in two stages

Single packet tenders • Single packet tenders: • In this type of tenders, tenderer submits their offer in one packet including both technical and financial bid and evaluated by committee for acceptance of offer from lowest eligible tenderer. • Two packet tender in single stage: • For high value tenders, bids may be obtained in two parts as under: • (i) Technical bid consisting of all technical details along with commercial terms and conditions; and • (ii) Financial bid indicating item-wise price for the items mentioned in the technical bid.

Two packet tenders – Single Stage • The technical bid and the financial bid should be sealed by the bidder in separate covers duly super-scribed and both these sealed covers are to be put in a bigger cover which should also be sealed and duly super-scribed. • The technical bids are to be opened at the first instance and evaluated by a committee. • At the second stage financial bids of only these technically acceptable offers should be opened after intimating them the date and time of opening the financial bid for further evaluation and ranking before awarding the contract.

Two packet tender in two stages • Two packet tender in two stages: • Obtain bids in two stages with receipt of financial bids after receipt and evaluation of technical bids.

Two Packet System RB Letter No. 94/CE. I/CT/4 Pt. 17 dated 13. 08. 2012 RB Letter No. 2017/Trans/01/Policy dated 26. 12. 2017 For all tenders requiring techno-economic evaluation “Two Packet System” shall be norm as far as possible. • For tenders valuing more than Rs. 10 Crore, “Twopacket system”shall mandatorily be followed, except in cases where it is decided not do so by Accepting Authority (not below SAG) with finance concurrence. • For tenders upto Rs. 10 crore, the decision shall be taken by the tender inviting authority with the concurrence of Associate Finance. • •

TWO PACKET SYSTEM OF TENDERING FEATURES Two sealed envelops with one cover. Technical bid is read out before the tenders. Same is then evaluated by the TC. After acceptance of the TCM, the financial bids of technically acceptable tenderers are opened. The tenders are then processed in normal manner.

TWO PACKET SYSTEM OF TENDERING • No mention in Engineering Code. • In 1985 RB appointed a committee (Shreedharan Committee) to suggest measures to improve the administration of contract and quality of works • Committee recommended TPS to assess the tenders technically without being influenced by the bids.

TWO PACKET SYSTEM OF TENDERING • Tenders valuing more than 10 Crs. - Two Packet System is mandatory. • For adopting ‘single packet system’( for > Rs. 10 crs) approval of DRM/ PHOD/CHOD with concurrence of associate finance in open line/ FA&CAO(C) in construction. • For tender upto Rs. 10 cr – for adopting Two Packet System decision can be taken by tender inviting authority with concurrence of associate finance.

Limited Tender System • Limited Tender System : - • (i) Where for reasons which should be in the public interest, it is considered not practicable or advantageous to call for open tenders, limited tenders may be invited with the concurrence of the Financial Adviser and Chief Accounts Officer and approval of the competent authority. • Reasons for inviting limited tenders from firms/contractors should be kept on record while approaching finance for concurrence.

Limited Tender System • (ii) The systems of inviting tenders for works costing up to Rs. 7. 5 Crores (Rupees Seven Crore Fifty lakhs) each from amongst the contractors borne on the approved list may also be adopted when it is considered advantageous to do so, provided the number of contractors borne on the approved list for the particular type of work is not less than 10. • (iii) Some percentage of the tenders which would normally be finalised by calling limited tenders, be finalised by calling open tenders so as to test the market rates periodically.

Limited Tender System • iv) Notice for Limited Tenders be sent to all eligible contractors borne on the approved list. • Note: --Notwithstanding the provision contained in para 1214 (ii) above, the Railways may invite open tenders in the following circumstances : - • (a) In the event of insufficient response to the tender from the contractors borne on the approved list; • (b) When the work is of special nature and contractors with requisite experience are not available on the approved list; and • (c) When ring formation is suspected.

LIMITED TENDERS • At times offers are invited from a limited number of tenderers. • They are generally tenderers from the approved list to save the time, • For smaller value of work or for the specialized nature of work. • E-1214, (Bd’s Lr. No. 83/W 1/CT/14(Policy) dt. 30. 3. 87)

LIMITED TENDERS • However if: Insufficient response Specialised nature of work, experienced contractors not available Ring formation suspected. invite Open Tenders

LIMITED TENDERS (PARA 2. 4. 4. 1 TO 2. 4. 4. 6 OF SCCR) • For works costing upto Rs. 7. 5 crore. • To be invited from the contractors borne on approved list. • Notice to be published in newspaper, displayed on notice board and also put on internet where ever possible.

LIMITED TENDERS Approved List of Contractors • In government departments many times the works to be executed are of repetitive nature. So to reduce the time of finalisation of the tenders and to eliminate incapable bidders a system of preparing “Approved List of Contractors” is followed in the tendering process. • The System intends pre-qualification of the contractors for the different categories or groups of the works in advance and updating this list periodically.

LIMITED TENDERS Ref: Rly. Bd’s letter No. 2013/CE-I/CT/O/20/POPt. II(ii) dated 26. 11. 13 • Competent authority to approve calling of LT S. Monetary Slab for LT No Category of Contractor 1. Upto Rs. 37. 5 lakhs Class C JAG / SG 2. More than Rs. 37. 5 lakhs and upto Rs. 1. 5 cr Class B SAG/DRM 3 Class A PHOD/CHOD More than Rs. 1. 5 cr and upto Rs. 7. 5 cr Lowest Competent Authority

LIMITED TENDERS Cate gory Eligibility Criteria Engg Organisation Work Experience Contractual Payment C Diploma holder of 3 yr experience 2 works costing not Rs 25 lakh in last 3 less than Rs. 10 lakh Financial years each B Graduate engineer of 5 yr experience 2 works costing not Rs 1 cr in last 3 less than Rs. 25 lakh Financial years each A Graduate engineer 2 works costing not Rs 5 cr in last 3 of 10 yr experience less than Rs. 1 cr Financial years and Diploma holder each of 5 yr experience

LIMITED TENDERS • Contractors in higher slab cannot tender for works of lower slab unless separately registered.

SPECIAL LIMITED TENDERS • For important or urgent works special limited tenders can be invited. • In this system few contractors are picked up who are considered to be capable of doing that work. Their credentials are verified. • These can be other than those on the approved list. But care should be taken to include the contractors in the approved list, in that area capable of doing that work. • The calling of the special limited tender and selection of the limited contractors needs finance concurrence and approval of CAO/GM

SPECIAL LIMITED TENDERS (PARA 2. 6. 4. 1 TO 2. 6. 4. 5 OF SCCR) • SLT in following cases in consultation with FA&CAO : Works of Specialised nature (Personal Approval of PHOD- full power, DRM- upto Rs. 10 lakh) Works of Urgent Nature (Personal Approval of CAO/GM- full power, DRM- upto Rs. 10 lakh) Consultancy Work (Personal Approval of CAO/GM) • To be invited from specialised and reputed contractors/ organisations/ agencies. • Preferably more than six but not less than four.

Model SOP 2018 • 5. (ii) Calling of Tenders • Limited Tenders from approved list for Works Contract • PHOD/ CHOD More than Rs. 1. 5 Cr. and up to Rs. 7. 5 Cr. • HOD More than Rs. 37. 5 lakhs and up to Rs. 1. 5 cr. • DRM/ADRM/CWM (in SAG) More than Rs. 37. 5 lakhs and Up to Rs. 1. 50 Crs. • JAG /JAG(SG) Up to Rs. 37. 5 lakhs

Model SOP 2018 • Notes for Item 5(A)-(ii): • 1) Pre-vetting of tender schedules is not necessary except in the rare urgent cases where tenders are called without sanction of detailed estimate. • Pre-vetting is also not necessary in case of zonal works and revenue works in Open Line up to Rs. 5 lakhs for which detailed estimates need not be framed. • It shall be ensured that the tender schedules are prepared based on the rates/quantities/scope of the work as included in the sanctioned estimates.

Model SOP 2018 • 2) For formulating approved list of contractors and invitation of Limited Tenders, the norms specified in the Board’s letter No. 94/CE- I/CT/4 dt. 17. 10 -02, 12/16 -5 -06 and No. 2007/CE/ I/CT/18 dt. 28 -9 -2007 and subsequent revisions on the subject shall be followed. • 3) At least 10 names should be on the approved list of contractors. • 4) Tender Notice period should not be less than 14 days.

LIMITED TENDERS Ref: Rly. Bd’s letter No. 2013/CE-I/CT/O/20/POPt. II(ii) dated 26. 11. 13 • Competent authority to approve calling of LT S. No Monetary Slab for LT Category of Contractor Lowest Competent Authority 1. Upto Rs. 37. 5 lakhs Class C JAG / SG 2. More than Rs. 37. 5 lakhs Class B and upto Rs. 1. 5 cr SAG/DRM 3 More than Rs. 1. 5 cr and Class A upto Rs. 7. 5 cr PHOD/CHOD

LIMITED TENDERS Cate gory Eligibility Criteria Engg Organisation Work Experience Contractual Payment C Diploma holder of 3 2 works costing not Rs 25 lakh in last 3 yr experience less than Rs. 10 lakh Financial years each B Graduate engineer 2 works costing not Rs 1 cr in last 3 of 5 yr experience less than Rs. 25 lakh Financial years each A Graduate engineer 2 works costing not Rs 5 cr in last 3 of 10 yr experience less than Rs. 1 cr Financial years and Diploma holder each of 5 yr experience

LIMITED TENDERS • Contractors in higher slab cannot tender for works of lower slab unless separately registered.

SPECIAL LIMITED TENDERS • Special limited tenders may be invited from specialised & reputed contractors / organisations / agencies not necessarily borne on approved list (numbers of tenders from whom special limited tender is to be invited should preferably with more than six but not less than four) in the following situations in consultation with associate finance. • Work of specialised nature to be approved personally by PHOD/CAO (C) • Work of urgent nature to be approved personally by GM/CAO (C)

SPECIAL LIMITED TENDERS • Note: • These powers can delegated upto SAG as per ceiling fixed by railway board time to time. The special limited tenders may be invited for all types of works by CAO (C) with the concurrence of FA & CAO (C) depending upon the merit of the case.

Calling of Tenders 5(A)(iii) Special Limited Tender -Calling of Tenders • (a) Works of specialized nature • PHOD/CAO/C Full Powers • DRM/ADRM/SAG Upto Rs. 10 Lakhs • (b) Works of urgent nature. • CAO/C Full Powers • DRM/ADRM/SAG Upto Rs. 10 Lakhs

Item 5 A(iii) Special Limited Tender • Notes for Item 5 A(iii) Special Limited Tender: • 1) Associate Finance concurrence is necessary. • 2) As per Rly. Bd’s. Lr. No. 2007/CE/I/CT/18 dt. 28 -9 -2007 CAO/C wih the concurrence of FA&CAO/C may invite special limited tenders not only for specialized nature of work but all types of works depending upon the merit of the case. • 3) Special Limited Tenders may be invited from specialised and reputed contractors/organisations/agencies. (Rly. Bd’s letter No. 94/CE-I/CT/4 dated 17. 10. 2002)

Item 5 A(iii) Special Limited Tender • 4) Tenderers from whom Special Limited Tenders are to be invited should preferably be more than Six but not less than Four (Rly. Bd’s letter No. 94/CEI/CT/4 dated 17. 10. 2002) • 5) Tender Notice period should not be less than 14 days.

SINGLE TENDER • A Single tender can be awarded under following situation such as : - • (1) EMERGENT SITUATION : - • (a) Accidents, breaches involving dislocation to traffic. • These powers may be delegated to PHODs and DRMs as per ceiling fixed by railway board time to time. • (b) Works of specialised nature to be personally approved by the GM with prior concurrence of the PFA and by CAO (C) with prior concurrence FA & CAO(C) or as delegated by Railway Board time to time

SINGLE TENDER • (c) Any other situation where General Manager personally considers it inescapable to call for single tenders subject to this powers can he exercised by GM only with prior concurrence of Finance and by CAO(C)- (Incharge of USBRL Project) with prior concurrence FA & CAO(C) or as delegated by Railway Board time to time • (2) Annual Maintenance Contract for equipment can be placed on single tender basis on authorised dealers with approval of Additional General Managers of Railways.

SINGLE TENDER • (3) For completion of last mile work, CAO( C) for Doubling, Traffic facility, New Line & Gauge conversion plan heads and CAO(RE) for railway electrification plan heads in respect of projects targeted for completion in the financial year, as per financial ceiling fixed by railway board

SINGLE TENDER • When under special circumstances/urgency, the offer is taken from only a single agency, it is called single tender. • is not to be called for routine works. • Tight target cannot be accepted as reasons for calling the single tenders. • the tender committee and the accepting authority should be one step higher than that in the case of open/limited tenders excepting in the cases where GM is the accepting authority.

SINGLE TENDER • E-1214 A (C. S. 25) • In rare or emergent situations, with Finance concurrence • Accidents, breaches involving dislocation to traffic (powers to GM, PHOD, DRM) • Work of specialised nature-personal approval of GM required • Any other situation if GM personally approves • AMC for equipment can be placed on Single Tender basis on authorised dealer on approval of AGM

SINGLE TENDER (Rly bd letter 2011/CE-I(SPL)/CT/O/4 dt 02/05/2017) • CAO/C can call and finalise Single Tender of value upto Rs. 5 cr for early completion of the last milestone of throughput enhancement works under ‘New lines’, ‘Doubling’, ‘Gauge conversion’, and ‘Traffic Facility’ plan heads and CAO/RE in ‘Railway Electrification’ plan head in respect of projects targeted for completion in 2017 -18. • Personal concurrence of FA&CAO/C • Tender Committee would be of SAG level and acceptance by CAO/C

SINGLE TENDER • PHODs Up to Rs. 20 lakhs in each case subject to an annual limit of Rs. 1 Crore. • DRM Rs. 10 lakhs in each case subject to an annual limit of Rs. 50 lakhs.

Model SOP 2018 • 5 (C) Single Tender • (i) in case of accidents, breaches involving dislocation to traffic. • PHOD Up to Rs. 20 lakhs per case subject to annual limit of Rs. 1 Cr. • DRM Up to Rs. 10 Lakhs per case subject to annual limit of Rs. 50 lakhs. • (ii) Works of specialized nature • CAO/Con Full Powers

Model SOP 2018 • Note for item 5(C) Single Tender: • 1. To be operated in times of cyclone, floods, accidents, sabotage, enemy action, explosions, cases of extreme urgency such as works or supplies necessary to safeguard life or property or repair damage to track caused by flood breaches, washaways, accidents or other unforeseen contingency so as to maintain through communication. • 2. Lighting, transhipment, hiring of plant, machinery, and equipment (including communication equipment) in cases listed under 1 above will be covered in this Para.

Model SOP 2018 • 3. Report to GM is necessary for incorporating it in the annexure to the PCDO • 4. The discretion to classify any item of work as one of extreme urgency for the purpose should be exercised personally by the DRMs. • 5. Finance concurrence is necessary

Model SOP 2018 • (D) Invitation of single tender in case of works pertaining to doubling, Traffic facility, New lines, gauge conversion and railway electrification projects, which are targeted for completion in the current financial year. • CAO/C, CAO/RE: Up to Rs. 5 Cr.

Model SOP 2018 • Notes for Item 5 (D): • 1. Personal concurrence of FA & CAO/C is required. • 2. Tender Committee should be at least at SAG level with acceptance by CAO (C). • 3. Powers to be exercised only in respect of Plan Heads and Projects targeted for completion by awarding Single Tender as per the instructions of Railway Board for specific Financial year. • 4. Prudency and transparency shall be maintained in the exercise of these powers.

ONLY / ONE TENDER • Single offer in response to open tender can be considered by TC. • Single offer in response to Limited Tender should be considered only in ‘very urgent’ cases

Importance • Understanding Contracts and Tenders has become inevitable to be Dealt by almost any hierarchy of an Administration.

THANKS 197